Re: What’s a good exit strategy for this? - Posted by Mike G
Posted by Mike G on September 03, 2003 at 11:45:02:
Depends on your goals. If your looking for a long-term rental and have the cash for a DP, maybe offer $160k or so, fix-up and rent out.
But if you’re looking to generate a quick profit, this is hardly a deal. Assuming it would take only about $6k in repairs, I wouldn’t pay any more than $140k tops (would start w/ an offer of $120k, pointing out all the repairs needed, only 1 bath, etc.). Would reduce this price dollar for dollar for any repairs over $6k. Could then either 1) use hard money and purchase yourself, fix up and sell retail or 2) assign your contract to another investor for a fee.
This prob wouldn’t make a good lease option b/c of the required upfront repairs and iffy monthly cash flow.